£40k negative equity...husband leaving..HELP!

gizmo111

I would check with the lender again - they don't usually make changes like that with neg equity, are you saying that the BI owner will go on the mortgage? In which case it is likely to be a new mortgage and they would need a deposit and again if this was possible would affect your benefit entitlement.

sickofitall_3

i will try to be as clear as i can! it is sooo complicated and confcusing!

We bought the house for £174,000.
+drawdown of ...............£.30,000.
TOTAL: =125% in 2004
Then in Feb 2005 they gave a further £42,000 secured
Then in Dec 2005 they gave a further £21,000 secured
SO WITHIN 18 months they gave a further £63,000 on the house bringing our mortgage balance to around £277,000.00
THIS IS OVER £100,000 MORE THAN THE COST OF THE HOUSE LESS THAN 18 MONTHS PRIOR, NO WAY WOULD THE VALUE HAVE INCREASED THIS MUCH!!!!!!!!!!!!!!

In my book this is complete irresponsible lending. lent on self certification and in less than 2 years.
In oct 2007 they gave a further £5k.

gizmo111

What is it you are trying to acheive - to take the lenders to task for irresponsible lending or to stay in the house and pay the mortgage.
How much is the house worth now? Have you had it valued? Who is the lender? Is the drawdown you refer to secured? What else has been secured on the house?

sickofitall_3

I am mainly trying to stay in the house, but now that I have looked through all the paperwork with help and realised how much got put on etc, I think that I should 'try' to get some sort of reduction or loan modification to help me stay as the lender was ridiculous to allow this amount on th eproperty within 18 months of a self cert 125% initial mortgage! thankyou. I know it will look like I am trying it on but PLEASE, read rom the beginning of the thread, it's not my fault!:o

Batchy

Good luck, but seriously, your partner was a financial advisor? Did anyone ever pay him for his financial advice.
What on earth has the money been spent on... in 4 years, you spent an extra 100k (NET) that more than most people have earnt over the past 4-6 years.

Good luck, I really hope you dont lose your home, for your childrens sake.

There is living beyond your means, then there is just crazyness.

Now the government is paying for your mistakes because your depressed, no wonder your depressed with this level of irresponsibility.

I do thou agree that the bank has been irresponsible, but then I have no idea what information your partner provided to them to secure the lending.

I just think, this kind of support from the government just isnt right, they should give the house back to lender, allow them to draw a line under the situation and write off losses, then up to the government to put you into social housing, and assist you with that.

My mother tried to run a pub business, sucessfully for 7 years, then it all went wrong she lost everything, business, home. She is now homeless, but before that she employed 15 people, entertained people and paid large amounts of taxes. Right now, she still has nowhere to live, Id like to be sympathetic, but I can only give so much, most of mine goes to my mother who DID the RIGHT thing, give it a go, it went wrong and now there is NO support, none at all, except £50pw which doesnt go very far at all.

michaels

Did you ever determine whether you had signed all the relevant documentation for the additional borrowings against the property? If some is not enforecable against you then in theory your share may not be in negative equity but you may still need to sell the house to allow a full apportinment of the equity against the debts to be achieved, unfortunately.

garthdp

Batchy wrote: »

Good luck, but seriously, your partner was a financial advisor? Did anyone ever pay him for his financial advice.
What on earth has the money been spent on... in 4 years, you spent an extra 100k (NET) that more than most people have earnt over the past 4-6 years.

Good luck, I really hope you dont lose your home, for your childrens sake.

There is living beyond your means, then there is just crazyness.

Now the government is paying for your mistakes because your depressed, no wonder your depressed with this level of irresponsibility.

I do thou agree that the bank has been irresponsible, but then I have no idea what information your partner provided to them to secure the lending.

I just think, this kind of support from the government just isnt right, they should give the house back to lender, allow them to draw a line under the situation and write off losses, then up to the government to put you into social housing, and assist you with that.

My mother tried to run a pub business, sucessfully for 7 years, then it all went wrong she lost everything, business, home. She is now homeless, but before that she employed 15 people, entertained people and paid large amounts of taxes. Right now, she still has nowhere to live, Id like to be sympathetic, but I can only give so much, most of mine goes to my mother who DID the RIGHT thing, give it a go, it went wrong and now there is NO support, none at all, except £50pw which doesnt go very far at all.

...and exactly how is that self serving moralising mini rant meant to help OP?

sickofitall_3

Batchy wrote: »

Good luck, but seriously, your partner was a financial advisor? Did anyone ever pay him for his financial advice.
What on earth has the money been spent on... in 4 years, you spent an extra 100k (NET) that more than most people have earnt over the past 4-6 years.

Good luck, I really hope you dont lose your home, for your childrens sake.

There is living beyond your means, then there is just crazyness.

Now the government is paying for your mistakes because your depressed, no wonder your depressed with this level of irresponsibility.

I do thou agree that the bank has been irresponsible, but then I have no idea what information your partner provided to them to secure the lending.

I just think, this kind of support from the government just isnt right, they should give the house back to lender, allow them to draw a line under the situation and write off losses, then up to the government to put you into social housing, and assist you with that.

My mother tried to run a pub business, sucessfully for 7 years, then it all went wrong she lost everything, business, home. She is now homeless, but before that she employed 15 people, entertained people and paid large amounts of taxes. Right now, she still has nowhere to live, Id like to be sympathetic, but I can only give so much, most of mine goes to my mother who DID the RIGHT thing, give it a go, it went wrong and now there is NO support, none at all, except £50pw which doesnt go very far at all.

Nobody is paying for MY mistakes, its my husbands. PLease, anyone reading this do not attack me!!!!!!!!!!! I am trying my best. I woudl rather NOT take a council home from someone who could well be homeless like your mum, if i can stay in this property that would benefit someone else. HE is responsible for all this mess not me. I was depressed BEFORE all this, I have BIPOLAR DISORDER. This justs ADDS to it it hasnt caused it.
I am sorry your mum is in that situation, that is harsh, but thats down to the social.
I am trying to sort this out when i didnt make the mess.
i am on here for help and advice.

thankyou

sickofitall_3

thanks garth x